Latest news with #AlDuqm
Zawya
27-05-2025
- Business
- Zawya
Oman real estate market poised for growth amidst economic diversification
MUSCAT: The Sultanate of Oman's real estate market demonstrated resilience in the first half of 2025, despite global economic uncertainties, according to the latest market research report by Hamptons International. The report highlights steady performance across key submarkets, driven by infrastructure investments, Oman Vision 2040-aligned reforms and a growing emphasis on sustainability and economic diversification. These initiatives have bolstered investor confidence and contributed to the recovery of logistics, tourism and mixed-use assets. SUBMARKET PERFORMANCE AND SECTOR HIGHLIGHTS Muscat emerged as the most active real estate hub, benefitting from government-backed urban development projects and increased demand for high-end residential and commercial properties. Al Duqm continued to attract industrial and logistics investments, leveraging its strategic location and the expansion of the Duqm Special Economic Zone. Suhar maintained steady demand for warehousing and manufacturing spaces, while Salalah's real estate sector thrived on tourism-related developments. The industrial and logistics sector remains one of the most attractive for long-term investors, with yields ranging from 9.5% to 11%. Cold storage, e-commerce fulfilment centres and facilities near free zones such as Suhar and Al Duqm are in high demand, supported by infrastructure growth and trade expansion under Oman Vision 2040. However, Oman still lags behind regional peers like the UAE in ESG-compliant industrial stock. ECONOMIC GROWTH AND MARKET TRENDS Oman's economy expanded by an estimated 2.3% in H1 2025, driven by growth in logistics, manufacturing and tourism. Brent crude oil prices stabilised at an average of $62 per barrel, ensuring fiscal stability and supporting government revenues. Non-oil GDP contributions rose above 35%, signalling progress in reducing reliance on hydrocarbons. Inflation remained moderate at 1.8%, while private sector activity and job creation in emerging industries showed positive momentum. The residential market saw stable demand for mid-income apartments and villas, with rents rising slightly in core Muscat districts such as Al Mouj and Al Qurum. Affordable housing initiatives aligned with Oman Vision 2040 gained traction, while professionally managed gated communities commanded a 10-15% premium over standalone properties. The report projects a compound annual growth rate of 9.19% for the residential real estate market, increasing from $4.75 billion in 2024 to $6.60 billion by 2029. HOSPITALITY AND RETAIL SECTOR INSIGHTS The hospitality sector recorded a rebound in business travel and regional tourism, with hotel occupancy in Muscat averaging 59% in H1 2025. Boutique and eco-resorts gained popularity in Dhofar and Al Jabal Al Akhdhar, supported by government-led sustainable tourism initiatives. The Average Daily Rate for 4- to 5-star hotels grew by 7%, while luxury and eco-tourism hotels reported above-average occupancy rates. Retail performance stabilised in urban malls and destination centres, with Mall of Oman and Oman Avenues Mall maintaining high occupancy rates. A clear trend towards F&B and experiential retail emerged, with landlords adopting hybrid leasing models to attract new tenants. OUTLOOK FOR H2 2025 Looking ahead, Oman's real estate market is expected to maintain steady growth in the second half of 2025, supported by government initiatives, infrastructure expansion and increasing investor interest. Key growth themes include sustained demand for industrial and logistics assets, affordable housing initiatives, tourism-led investments and ESG integration. Strategic projects in Al Duqm, Suhar and Muscat will play a catalytic role, while Salalah and Dhofar are set to benefit from tourism expansion. With Oman Vision 2040 shaping real estate policy and infrastructure spending, Oman's commitment to economic diversification and sustainability positions the sector for continued growth, offering lucrative opportunities for developers and investors alike. 2022 © All right reserved for Oman Establishment for Press, Publication and Advertising (OEPPA) Provided by SyndiGate Media Inc. (
Zawya
19-05-2025
- Business
- Zawya
Duqm project joins Oman's green energy framework
MUSCAT : Project development and usufruct agreements have been signed on May 18, Sunday, to integrate Phases 2 and 3 of a green hydrogen and ammonia project in Al Duqm into Oman's national hydrogen framework. The agreements, involving Hydrom (the orchestrator of Oman's green hydrogen industry), the Public Authority for Special Economic Zones and Free Zones (OPAZ) and India-based ACME Group, mark the formal inclusion of one of the Sultanate of Oman's earliest hydrogen initiatives into Hydrom's unified national portfolio. The signing ceremony was attended by Eng Salim bin Nasser al Aufi, Minister of Energy and Minerals and Chairman of Hydrom; Shaikh Dr Ali bin Masoud al Sunaidy, Chairman of the Public Authority for Special Economic Zones and Free Zones (OPAZ); and Gursharan Jassal, ACME's Country Manager in Oman. The two new project phases will cover 80 square kilometres within the Special Economic Zone at Duqm (SEZAD) and are expected to each produce 71,000 tonnes of green hydrogen and 400,000 tonnes of green ammonia annually. This expansion builds on the ongoing construction of ACME's Phase 1, designed to produce 100,000 tonnes of green ammonia per year under an offtake agreement with Yara Birkeland AS. Once all three phases are complete, ACME aims to reach a total production capacity of 0.9 million tonnes of green ammonia annually. Eng Abdulaziz al Shaithani, Managing Director of Hydrom, stated: 'Integrating ACME's project into our national framework is a major milestone in Oman's green hydrogen journey. It strengthens investor confidence, streamlines development, and reinforces Oman's status as a serious global player in this emerging sector.' Hydrom's portfolio has now expanded to nine large-scale green hydrogen projects across Al Wusta and Dhofar governorates, with combined expected investments exceeding $50 billion and an annual production capacity target of 1.5 million tonnes of green hydrogen by 2030. These projects will be powered by approximately 35 GW of renewable energy and coordinated through a centralised strategy to ensure scalability and international competitiveness. Eng Ahmed bin Ali Akaak, CEO of SEZAD, highlighted Duqm's rising prominence as a green energy hub. He noted the zone's 2025–2030 strategy prioritises green hydrogen investments, in alignment with Oman Vision 2040 and the national goal of Net-Zero emissions by 2050. ACME's Country Manager Gursharan Jassal added: 'This agreement represents a major step toward a cleaner and more sustainable energy future for Oman. It reflects our shared ambition to support the country's long-term vision and global leadership in the green hydrogen economy.' The agreement comes as Hydrom progresses with its third land auction round, underscoring the Sultanate of Oman's accelerating hydrogen strategy. By integrating early-stage and new developments under one framework, Oman is building a complete green hydrogen value chain — from renewable resource development to infrastructure and export — offering investors and offtakers a stable, scalable, and future-ready ecosystem. This expansion builds on the ongoing construction of ACME's Phase 1, designed to produce 100,000 tonnes of green ammonia per year under an offtake agreement with Yara Birkeland AS. 2022 © All right reserved for Oman Establishment for Press, Publication and Advertising (OEPPA) Provided by SyndiGate Media Inc. (
